Bestselling author and “Mad Money” host Jim Cramer warned prospective bitcoin investors that cryptocurrency is a lot more like “Monopoly money” compared to a true asset and advised these people to put their money somewhere less risky — a craps table, as an example.
Cramer, a former hedge fund manager that is best known for his market commentary on CNBC, chose to make this sensationalist claim about bitcoin to the Wednesday episode of “Squawk Box”.
“It’s similar to monopoly money,” Cramer said. “Obviously, there’s those who use it. If you say anything bad regarding this, there’s that way ‘bitcoin mafia’ that comes as soon as you. But it is an oddity who has nothing to employ us” as investors.
Commenting about the recent bitcoin price upswing, Cramer alleged that buying bitcoin is “pure gambling” — not investing — and the those with the desire to gamble comes to Nevada instead.
“It’s just pure gambling at this stage,” Cramer continued. “Setting up if you want to gamble, take a look at Vegas. Vegas is fabulous.”
This wasnrrrt the first critical statement Cramer has levied against bitcoin. The previous week, he argued that its “parabolic” movement confirmed that it was in a bubble. She has also stated that announcements along the lines of Square Cash’s bitcoin pilot program sometimes make “people feel better” about cryptocurrency, causing it to steal a bit of gold’s luster
“I mean honestly, what’s a real difference between bitcoin seeking to figure out the Super Bowl? I’m talking about it’s gambling,” Cramer concluded.
Despite Cramer’s frustration, however, bitcoin is constantly march forward with only a breakneck pace. The bitcoin price ripped with the $14,000 mark on Wednesday evening, punctuating a single-day surge that saw bitcoin rise much more than $2,000, or Twenty percent.?At the time of writing, bitcoin was trading on a global average of $14,510, as stated by the BlockExplorer bitcoin price index.
The impetus for your rally likely will be linked to the impending launch of bitcoin futures on Sunday afternoon, a function that many analysts believe will turn out to be a watershed moment for cryptocurrency adoption.